Asia stocks up, Shanghai down again

Asia stocks up, Shanghai down again

Pedestrians are reflected in a stock market indicator board in Tokyo on Thursday. (EPA photo)
Pedestrians are reflected in a stock market indicator board in Tokyo on Thursday. (EPA photo)

HONG KONG — Most Asian markets advanced Friday on a healthy batch of economic growth data out of the United States but Shanghai sank again, extending the previous day's sell-off.

Tokyo reversed morning losses to end 0.30% higher, adding 62.41 points to 20,585.24, while Sydney was up 0.52%, or 29.68 points, at 5,699.2 and Seoul gained 0.55%, or 11.13 points, to 2,030.16.

Hong Kong was 0.56% higher, adding 138.30 points to 24,636.28, while Shanghai ended down 1.13%, or 42.04 points, at 3,663.73 as it struggles to recover from a recent plunge.

Taipei added 0.16%, or 13.85 points, to 8,665.34 and Manila gained 0.53%, or 39.61 points, to 7,550.00.

Confidence was given a shot in the arm by a report from the US Commerce Department Thursday that said the world's top economy expanded at an annual rate of 2.3% in the April-June period, the strongest growth since the third quarter of 2014.

And while the figure was a little below expectations, the department also revised up its estimate on the first quarter of the year -- which was hit by severe winter weather -- to growth of 0.6%, from a 0.2% contraction.

Shanghai stocks continue to be buffeted as government measures at the start of the month to contain a plunge were unable to prevent another round of fierce selling this week.

The benchmark index slumped more than 30% between June 12 and July 8, when Beijing unveiled a series of strict measures to avert a meltdown, which prompted a slight recovery.

However, a below-forecast manufacturing reading last Friday sparked another round of panic -- sending shares collapsing 8.48% Monday -- among mainland investors. The market is now down 14 percent over the month.

On Friday China's two stock exchanges put trading limits on more than 20 accounts as the market regulator announced a crackdown on computerised "programme trading", which it blamed for the recent volatility.

The China Securities Regulatory Commission (CSRC) said it was investigating institutions and individuals for programme trading, which had amplified "big fluctuations" on the stock market, according to a statement on its website.

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